core PCE yy falls to the lowest since March 2021
- Prior was +0.2%
- Prior core m/m +0.2% (revised to +0.3%)
- Core y/y +2.6% vs +2.6% expected
- Headline PCE 0.0% m/m vs 0.0% expected
- Headline PCE +2.6% y/y vs +2.6% expected
- Personal income +0.5% vs +0.4% expected
- Personal spending +0.2% vs +0.3% expected
- Prior personal spending +0.2% (revised to +0.1%)
- PCE services excluding energy +0.1% vs +0.3% prior
There are no big surprises in the headlines. They are in line with estimates while the variation in the income and spending numbers are small and the revisions aren't material.
I think the Fed will look favorably at this report as it helps to confirm softer CPI and the core services numbers are also benign.
